Chuo-ku’s population reaches 55-year high

The population of Tokyo’s Chuo ward exceeded 150,000 residents for the first time since 1962. Construction of high-rises in the bayside area and a desire to live closer to one’s workplace has seen population on a rise since 1998. Meanwhile, childcare facilities and medical clinics are struggling with the larger population.Read more

by Zoe Ward

New apartment prices in Kyoto reach record high in 2016

The average price of a new apartment in Kyoto City increased for the sixth year in a row, reaching 52,960,000 Yen in 2016. The city is the second most expensive region in Japan for new apartments, with Tokyo’s 23 wards in top place with an average price of 66,290,000 Yen in 2016.

Prices have been pushed up by several factors, including increasing construction costs, fierce competition between developers looking for sites for hotels, and growing demand from out-of-town buyers.Read more

by Zoe Ward

Tokyo apartment asking prices in December 2016

According to Tokyo Kantei, the average asking price of a 70 sqm (753 sq.ft) second-hand apartment in greater Tokyo was 35,680,000 Yen in December 2016, up 0.6% from the previous month and up 9.1% from 2015. The average building age was 22.5 years.

In the Tokyo metropolitan area, the average asking price was 48,380,000 Yen, up 0.6% from the previous month and up 4.7% from 2015. The average building age was 22.0 years.

In Tokyo’s 23 wards, the average asking price was 53,280,000 Yen, up 0.9% from the previous month and up 3.6% from 2015. The average building age was 21.9 years. This is the highest level seen since record-keeping began in 1997.

In Tokyo’s central six wards (Chiyoda, Chuo, Minato, Shinjuku, Bunkyo and Shibuya) the average asking price was 73,100,000 Yen, up 0.6% from the previous month and up 2.3% from 2015. The average building age was 20.0 years.

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by Zoe Ward

Second-hand apartment transactions reach record high in 2016

REINS released their annual report on transaction data for greater Tokyo in 2016. The key points from the report are:

Second-hand apartments:

  • Transactions increased for the second year in a row and reached a record high.
  • Average sale price exceeded 30 million Yen for the first time in 22 years.
  • Average sale prices per square meter increased for the fourth year in a row.

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by Zoe Ward

New apartment supply in greater Tokyo reaches 24-year low

The supply of new apartments in greater Tokyo in 2016 reached a 24-year low with 35,772 apartments offered for sale. This represented a decrease of 11.6% from 2015 and was the lowest level seen since 1992. Developers have been restricting supply amidst rising construction costs, rising land prices and stagnant wages of potential buyers. Development sites in prime locations once earmarked for residential are being converted to office and hotel projects which can provide better returns.

Existing properties that have been renovated are now proving popular with buyers who would have once only considered buying new, which is putting further pressure on new apartment sales. In fact, a record high number of second-hand apartments sold in greater Tokyo in 2016. There were 37,189 reported sales, up 6.9% from 2015. Second-hand apartment sales exceeded new apartment sales by over 50%.

The average contract ratio for the year was 68.8%, which is below the 70% line said to indicate positive market conditions, and is the lowest ratio seen since 2009.Read more

by Zoe Ward

Toshiba sells west Tokyo factory for 10 billion Yen

Toshiba has sold their Oume Factory in west Tokyo, to Nomura Real Estate for approximately 10 billion Yen (89 million USD). The factory, which has been used for the production of computers and televisions, is scheduled to close at the end of March. Nomura plans to construct a logistics facility on the site with construction to start in 2018.Read more

by Zoe Ward

Osaka apartment owner fined in court for illegal B&B

An apartment building’s owners association has successfully sued an apartment owner for illegally letting out an apartment to various tourists for short-term stays. The Osaka District Court ruled in favor of the owners association and the apartment owner was ordered to pay 500,000 Yen in restitution.

According to the case, the defendant had purchased a three bedroom apartment in Osaka’s Chuo Ward in late 2007. Between November 2014 and August 2016, they leased the apartment out through a broker on a nightly basis to foreign tourists for approximately 15,000 Yen per night.Read more

by Zoe Ward